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Rebounding tech stocks push US market higher midday

Nov 21, 2018

 

Market data as of 1230pm EST

US Market Snapshot

  • US stocks are higher midday with tech shares leading the gains; the leaders to the downside in the last sell-off are leading gains today
  • The S&P 500 is currently up 0.83%, Nasdaq Composite is up 1.35%, and Russell 2000 is up 1.88%
  • The Federal Reserve is set to take a pause in its interest rate hikes in 2019 after a widely anticipated quarter point hike in December, according to a report in Bloomberg today
  • Energy (+2.35%), Consumer Discretionary (+1.55%), and Materials (+1.49%) stocks are the top performers in the S&P 500 today
  • Healthcare (-0.37%), Consumer Staples (-0.71%), and Utilities (-1.01%) stocks are the worst performers in the S&P 500 today
  • Investor sentiment for US stocks is positive with the advance/decline ratio for the S&P 500 currently at 4.32x
  • 40 stocks in the S&P500 are at 4-week highs while 109 stocks are at 4-week lows
  • 10 stocks in the S&P 500 are overbought while 46 stocks are oversold according to the 16-day RSI Measure
  • 29 stocks in the Nasdaq Composite are at 4-week highs while 293 stocks are at 4-week lows
  • 62 stocks in the Nasdaq Composite are overbought while 677 stocks are oversold according to the 16-day RSI Measure
  • The VIX is currently 20.78 moving down 1.69 from yesterday's close of 22.48

Stocks Trending in the News

Click name for Q-Factor rating and financials data.
 

  • Autodesk (ADSK) shares are trading notably higher as analysts are praising the firm’s better-than-expected FY3Q2018 financial results. Specifically, analysts are hailing the firm’s strong long-term growth indicators, pointing out strength in the company’s annualized recurring revenue. Analysts from Morgan Stanley, who maintains an “Overweight” recommendation with a price target of USD$160, RBC Capital Markets, who maintains an “Outperform” recommendation with a price target of USD$163, and Cowen, who maintains an “Outperform” recommendation with a price target of USD$160, all praised the firm’s financials. Autodesk is rated “Unattractive” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Information Technology Global Top Stock Ideas. 
  • Bilibili (BILI) shares are soaring after the company announced FY3Q2018 financials that largely surprised analysts. Bilibili reported FY3Q2018 sales of 1.078bn Chinese yuan while analysts expected sales of 1.011bn Chinese yuan. Bilibili’s EPS of 0.88 Chinese yuan/share for FY3Q2018 also surpassed analysts’ consensus of 0.73 Chinese yuan/share. Bilibili is rated “Top Short” in our China All-Cap Global Top Stock Ideas. 
  • BJ’s Wholesale Club (BJ) shares are trading largely higher after reporting better-than-expected FY3Q2018 financial results after yesterday’s market close. BJ’s reported FY3Q2018 adjusted EPS of USD$0.39/share while analysts’ consensus called for USD$0.24/share. Meanwhile, BJ’s observed comparable sales excluding gasoline growth of 1.9% while analysts expected only 1.7%. BJ’s is rated “Top Short” in our US Large-Cap Global Top Stock Ideas and “Unattractive” in our US Consumer Staples Global Top Stock Ideas.
  • Deere & Co (DE) reported FY4Q results that missed estimates.  Deere reported 4Q adjusted EPS of USD$2.30 versus USD$2.45 expected.  FY4Q net sales of USD$8.34 billion came below USD$8.64 billion expected.  Deere expected fiscal 2019 net of USD$3.6 billion versus consensus of USD$3.6 billion.  Deere is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Industrials Global Top Stock Ideas.
  • Foxconn Technology Group (2317 TT) announced it is aiming to cut 20 billion yuan (USD$2.9 billion) in expenses 2019 according to an internal memo cited in a Bloomberg article.  Foxconn is the largest assembler of iPhones for Apple (AAPL).    The memo highlights Foxconn’s need to cut expenses in its iPhone assembly unit by 6 billion yuan as it will face “a very difficult and competitive year”.  Foxconn will eliminate 10% of its non-technical staff as part of its cost cutting.  The bad news surrounding iPhone demand has sent Apple down over 20% from its October peak, closing in bear territory yesterday.  Foxconn is not rated in our Global Top Stock Ideas.   Apple is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Information Technology Global Top Stock Ideas.
  • Gap (GPS) reported 3Q same store sales that were flat while consensus was for growth of 1.1%.  Gap also lowered guidance for full year earnings, now seeing USD$2.55-2.60 while previously guidance was USD$2.55-2.70.  3Q EPS of 69 cents came a touch above 68 cents expected.  Gap said it is Neutral whether to close hundreds of stores as it seeks to turn the company around.  Gap is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas.
  • Foot Locker (FL) shares are soaring in pre-market trading after reporting FY3Q2018 earnings that notably beat analyst expectations. Foot Locker generated an adjusted EPS of USD$0.95/share in FY3Q2018 while analysts’ consensus called for USD$0.92/share. Foot Locker also generated FY3Q2018 comparable sales growth of 2.9% while analysts’ consensus called for just 2.0%. Foot Locker’s earnings beat post-market sent shares of competitors Nike (NKE)Dick’s Sporting Goods (DKS), and Under Armour (UA) slightly higher in pre-market trading as well. Foot Locker is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas. Nike is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Consumer Discretionary Global Top Stock Ideas.  Dick’s is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Consumer Discretionary Global Top Stock Ideas. Under Armour is rated “Unattractive” in our US Large-Cap Global Top Stock Ideas and “Unattractive” in our US Consumer Discretionary Global Top Stock Ideas.
  • Walgreens Boots Alliance (WBA) and Humana (HUM) are in talks to potentially take equity stakes in each other according to a report in the Wall Street Journal.  The companies have help talks about a variety of different ways to tie up, including expanding existing alliances.  Walgreen’s CEO has made clear the desire to expand its business, lamenting recently that Walgreens had not bought an insurance company 4 years ago.  Walgreens Boots Alliance is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Staples Global Top Stock Ideas.

 

US Treasuries

 

  • US 2-Year Treasury Notes are lower with yields up 1.64 basis points to 2.82%
  • US 5-Year Treasury Bonds are lower with yields up 1.03 basis points to 2.89%
  • US 10-Year Treasury Bonds are lower with yields up 0.91 basis points to 3.07%
  • The US Treasury 2s-5s Spread has narrowed 0.61 basis points to 0.08%
  • The US Treasury 2s-10s Spread has narrowed 0.73 basis points to 0.25%
  • US Treasury 5s-10s Spread has narrowed 0.12 basis points to 0.17%
     

Currencies

  • EUR€ is currently little changed against the USD$ at 1.1384
  • GBP£ is currently down 0.164% against the USD$ to 1.2767
  • CHF is currently little changed against the USD$ at 1.0048
  • JPY¥ is currently up 0.248% against the USD$ to 113.05

Commodities

  • WTI Crude is currently up 3.81% to USD$55.36/bbl with the Brent-WTI spread down USD$-1.22 to USD$8.05/bbl
  • Gold is currently up 0.39% to USD$1226.41/oz
     

 

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

S&P 500 Sector ETFs - Intraday

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

Russell 1000 Factor ETFs - Intraday

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

 

 

S&P 500 Movers

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Outperformers Sector Price 1D % Chg Volume
Foot Locker Inc Consumer Discretionary 52.5 13.95%            1,041,977
Autodesk Inc Information Technology 134 8.80%                866,463
L Brands Inc Consumer Discretionary 29.6 6.43%                772,547
EQT Corp Energy 17.8 6.16%                512,855
Hanesbrands Inc Consumer Discretionary 15.6 6.03%                596,799
 
Underperformers Sector Price 1D % Chg Volume
Best Buy Co Inc Consumer Discretionary 61.2 -3.70%                455,830
Johnson & Johnson Health Care 142 -3.33%                734,665
NVIDIA Corp Information Technology 144 -3.16%            3,804,973
AbbVie Inc Health Care 85.6 -2.82%                491,819
Philip Morris International Inc Consumer Staples 84.4 -2.59%                389,239